The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings.

International Business Machines Corp.’s P/E ratio decreased from Q3 2019 to Q4 2019 and from Q4 2019 to Q1 2020.

P/OP ratio

Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit.

International Business Machines Corp.’s P/OP ratio increased from Q3 2019 to Q4 2019 and from Q4 2019 to Q1 2020.

P/S ratio

An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative.

International Business Machines Corp.’s P/S ratio increased from Q3 2019 to Q4 2019 but then decreased significantly from Q4 2019 to Q1 2020.

P/BV ratio

The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return.

International Business Machines Corp.’s P/BV ratio decreased from Q3 2019 to Q4 2019 and from Q4 2019 to Q1 2020.

3 Closing price as at the filing date of International Business Machines Corp.’s Quarterly or Annual Report.

4Q1 2020 Calculation
P/S ratio = Share price ÷ Sales per share
= ÷ =

5 Click competitor name to see calculations.

Valuation ratio

Description

The company

P/S ratio

An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative.

International Business Machines Corp.’s P/S ratio increased from Q3 2019 to Q4 2019 but then decreased significantly from Q4 2019 to Q1 2020.